The BOFS for the FSBO

Sold Gate


Whether you own your property free and clear, or you owe more than your property is worth, I am dedicated to showing you, the “Fiz-Bo” (For Sale By Owner), how to have the “Bo-Fiz” (Best Opportunity For Success) in today’s market.

If you’re a FSBO, then for your BOFS you’d BOSF because you’ll SFOB.

Translation:If you’re a

  • For Sale By Owner, then for your
  • Best Opportunity For Success you’d
  • Better Offer Seller Financing because you’ll
  • Sell Fast Offering Banking.

So you need or want to sell, and you want to sell without an agent because:

  1. You’d like to keep the change in your own pocket, thank you, or maybe…
  2. You’re a licensed real estate agent or a seasoned investor who doesn’t need any help navigating the territory, or maybe…
  3. You just plain hate real estate agents, or maybe…
  4. You think you can’t afford one because you’re practically upside-down and worried that you won’t even be able to sell it for what you owe, let alone pay a commission, and darn it, you just want out from under this thing!

Regardless of which category you fall into, chances are you want to:

>Get your price regardless of market conditions

>Close quickly

>Have more buyers looking at your property

>Have a competitive edge over the 12 other listings on your block

>Defer any capital gains that may apply

>Maybe monthly cash flow would be nice, with the option to

>Get a lump sum of cash at any time . . .

Do I have your attention? OK, let’s talk.

[Sign up for Seller Financing on Steroids.‘  It will answer many of your questions before you contact me.  It’s a great way to get some of my expertise without paying for my time!]


It’s no secret that the housing market is in a recessionary mode, and that there is a global liquidity crisis. Individuals and corporations can’t get loans. Nationally, there will soon be at least a 12-month supply of houses. This means that the average home, without substantial price reductions, will take a year to sell.

Let’s face it, many buyers are holding back. There is downward pressure on prices, and willing buyers are having a hard time getting financing. That means that when you are trying to sell your property, you are competing with many other sellers for precious few willing and able buyers. How can you give yourself the competitive edge?

Sellers can substantially compensate for whatever is, or is not, happening in “the market” today and create their own liquidity, their own market. Most banks, mortgage brokers and some real estate professionals don’t want you to know this:

Sellers can get top dollar by offering terms


I’d like to teach you some yoga, some fiscal yoga. I’m excited to introduce you to ideas that can increase your economic power through financial flexibility. With a little guidance, there are monetary postures you can hold that you probably never dreamed possible. Learn to meet your financial objectives regardless of market conditions.

Many people are deciding not to sell, thinking the timing is just not good. You, as a FSBO, are obviously trying to sell because you really need or want to, but the offers aren’t exactly streaming in, and you’re wondering if you should take it off the market or reduce the price considerably.

What if there was another option to explore?

If you will advertise your property using these 3 Magic Words: “OWNER WILL CARRY” you will instantly increase your chances of putting a very nice transaction together.

Money bags

So, what exactly does that mean? Carry what? Carry the financing–become the bank on your own property. (Read more about this). Instead of the owner, you become the beneficiary. You receive the monthly payments made by the buyer. By offering terms, you will instantly increase the potential number of buyers for your property. There are great buyers out there with cash and decent credit that just can’t get a loan right now.

Here’s an example to give you a real life success story:

Betsy and Frank needed to sell. They were getting too old to maintain a large house and were having health issues. They needed a quick transaction, but they also needed the money from the sale to carry them through retirement, so they couldn’t just slash the price without significant ramifications. They had it on the market, but were not getting the response they were looking for.

I consulted with them, determined what their options might be given their particular needs and circumstances, and suggested that they offer terms to attract more buyers. They happened to own their property free and clear, but they also needed a substantial amount of cash at closing, or it just wouldn’t work.

I worked with them on advertising their willingness to offer terms, OWNER WILL CARRY, which easily and instantly doubled the amount of phone calls they were receiving. You see, many desirable buyers can’t qualify for a loan right now, even if they have cash and decent credit. So, when sellers broadcast their flexibility and willingness to offer terms, this opens up a much wider playing field of potential buyers. So many buyers can buy if they don’t have to rely on the banks for a loan! This also means that you’re much more likely to get your price. You trade terms for price.

So, what did my clients offer to do? Here’s how we structured it:

  • Sales price: $550,000
  • Down payment (20%): $110,000
  • Interest rate: 6% (to compete with the banks and avoid an early payoff)
  • Amortized over: 360 months (30 years)
  • Due in: 60 (balloon at 5 years)
  • Monthly payment: $2,638.02

The seller would get:

  • Down payment: $110,000
  • 60 monthly payments of $2,638.02: $158,281.20
  • Balloon payment in 5 years: $409,439.31
  • TOTAL TO SELLER: $677,720.51

Not bad, is it?

“Yeah,” you say, “but what if I needed $200,000 at closing? Now what do you have to say for yourself?” Well, this is how I might start rambling . . . You need $200,000, you’re already getting $110,000, so somehow we need to pull in another $90,000 at the closing table.

This is what you could do: turn around and sell some of your monthly payments in exchange for instant cash. A TD (trust deed) investor/note buyer (like me) would trade you $90,000 today for:

1) 41 of your monthly payments of $2,638.02:

  • Down payment: $110,000
  • TD investor: $90,000
  • 19 monthly payments of $2,638.02: $50,122.38
  • Balloon payment in 5 years: $409,439.31
  • TOTAL TO SELLER: $659,561.69


2) 60 payments of $1,912.23 (leaving you $725.79 of the payment each month):

  • Down payment: $110,000
  • TD investor: $90,000
  • 60 monthly payments of $725.79: $43,547.40
  • Balloon payment in 5 years: $409,439.31
  • TOTAL TO SELLER: $652,986.71


3) $163,502.70 of your balloon payment in 5 years

  • Down payment: $110,000
  • TD investor: $90,000
  • 60 monthly payments of $2,638.02: $158,281.20
  • Balloon payment in 5 years: $245,936.61
  • TOTAL TO SELLER: $604,217.81

In each case, even taking a discount on the note, the seller walks away with more than the purchase price of the house. To understand why notes are discounted and how they are valued by the market, click here.

Will any of these techniques work if I still have a mortgage on my property?

Yes, to some degree. It all depends on the underlying financing and a few other factors. The point I want to make is that there are a multitude of options. If you are a little bit flexible, you can find a solution that works for you and the buyer. There are so many ways to close a deal, most of which remain hidden to the general public.

So, I’m a FSBO, I’m interested in what you have to say . . .


If you want more, you can hire me to help you put your deal together and I’ll buy your real estate note!